The kiwi touched 53.67 British pence overnight, its highest since May 2013. Photo / File

The New Zealand dollar hit a three-year high against the British pound amid continued uncertainty about the outlook for the UK following that country's vote to leave the European Union.

The kiwi touched 53.67 British pence overnight, its highest since May 2013, and was trading at 53.02 pence at 8am in Wellington, from 52.72 at 5pm yesterday. The local currency dropped to 70.08 US cents from 70.65 cents yesterday.

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The British pound slumped to a 31-year low against the US dollar as turbulence in currency markets continued after the UK voted late last week to exit the EU. The vote has caused political turmoil in the UK, sparking the resignation of Conservative Prime Minister David Cameron, as well as many Labour MPs, and revived calls for Scotland to separate from the UK. The UK's formal separation plan remains uncertain amid concerns that other EU countries may also split from the union.

"The markets remain a cauldron of volatility as lack of clarity on the resolution of Brexit continues to weigh heavy on financial assets," Boris Schlossberg, managing director of foreign exchange strategy BK Asset Management in New York, said in a note. "With both UK major parties in turmoil over the Brexit vote the political situation in the UK remained highly uncertain only adding to the volatility in the marketplace."

The New Zealand dollar was little changed at 95.33 Australian cents, from 95.32 cents yesterday. The local currency declined to 63.61 euro cents from 64.14 cents, weakened to 71.51 yen from 71.75 yen, slid to 4.6590 yuan from 4.6902 yuan. The trade-weighted index dropped to 75.54 from 75.89.